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Manufacturer Embraces and Applies MetaOps, Inc. Operational Excellence Training and Sees $50,000 Profit Increase in 30 Days

Situation

A Chicago, Illinois-based steel fabricator, supplying a global market with wire product displays, store fixtures, point-of-purchase (POP) displays, and custom wire frameworks, engaged MetaOps, Inc. to help them reduce labor costs and decrease lead-times in order to make them competitive in their manufacturing niche and increase their profitability. This family-run Women’s Business Enterprise National Council-certified complex manufacturer was given an intensive crash course and leadership and teambuilding education in Operational Excellence (OpEx) concepts and practices. Their staff embraced OpEx strategies and tactics, and with assistance and coaching from MetaOps, Inc. MetaExperts’ support, they surpassed their OpEx goals.

Actions

The company’s president credited MetaExpert-lead Operational Excellence transformation with saving the company. MetaOps, Inc. MetaExperts did so by:

  • Performing an opportunity appraisal and using the results to train owners and key managers to understand and use specific methods in operational excellence.
  • A customized approach to engage the entire workforce in multiple ‘quick-win’ process improvement efforts including:
    • Re-design of the plant layout, and
    • Adoption of one-unit flow and pull systems to improve inventory controls, increase quality, minimize handling costs, and slash lead times.
  • Coaching and mentoring the organization’s supervisors and management to deploy advanced skills for practicing High-Performing Teams methods.

Results

Hallmark results of the company’s transformation were that they increased their profit by $50,000 in 30 days due to ‘quick-hit’ innovations, ultimately increasing their annual profit performance by $700,000 in the first full year. The sum of their transformation also included:

  • Improving productivity by 30% across their workforce,
  • Decreasing lead times for large orders by 50%,
  • Seeing a reduction in order lead time standards of 12 weeks to as little as two weeks, and
  • Obtaining record sales in the second year after the OpEx implementation.

Return on Investment

  • $50,000 profit in 30 days
  • $700,000 profit in one year
  • Record sales the next year
  • 30% improvement in productivity company-wide
  • 50% decrease in manufacturing lead times

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